Cape Associates: Small business, big recognition

When Cape Associates learned it had won the U.S. Small Business Administration's 2013 family-owned business of the year award for Massachusetts, it capped a month of expansion — and loss.

The company opened a new office — its third — in Chatham at the beginning of April. A short time later, the company was notified by the SBA of its award, partly because of Cape Associates' growth.

"We are a 42-year-old business and we are still growing," said Matthew Cole, the CEO and president of the building, painting, remodeling and property management company. The company also has offices in Yarmouthport and Eastham.

The timing of the award was poignant for the Cole family and Cape Associates.

Michael Cole, who was president of the company from 1986 through last year, died April 9 after a sudden illness. He sold the business this January to his son, Matthew, and daughters Lindsay and Casey. Lindsay and Casey work within the operations division of the company.

Matthew Cole said he opened the letter from the SBA announcing the honor the day before a memorial service for his father.

"I think it honors his hard work" and the hard work of the entire staff, Cole said. The company has 118 full-time, year-round employees.

The company will be honored in June by the SBA.

Bob Nelson, the SBA's district director for Massachusetts, said several companies were under consideration for the recognition.

The award is decided by sales and profits, increased job opportunities for family and other staff, community involvement and "demonstrated potential for long-term business success and economic growth," according to material provided by the SBA.

"This is a business that contributes significantly to the local economy," he said.

The award is named for Jeffrey H. Butland, an SBA regional administrator in New England who died in 2005.

"It really is a special award for us," Nelson said, who said Butland was a big supporter of family-run businesses.

Cape Associates was started in 1971 by Matthew's grandfather and Michael's father-in-law, Lester Langhans, Jr. He remained president until Michael Cole took over in 1986.

According to the company's self-nomination form to the SBA its "sales have grown aggressively and consistently over the past 3 years, most notably in 2011 and 2012."

Matthew Cole said that although the company's revenue was flat during the recession, it kept its staff intact.

"Though the economy has been challenging, our strategy was precise and successful. Keeping our scale has paid off as the (local) market has recovered," the company wrote in its submission to the SBA. "We have increased and modernized our advertising program; modernized and improved our internal controls and systems; we have hired more and more talented people. All of this reinvestment in the business should help us to continue to grow, continue to be profitable all of which allows us to support our employees and the community around us."